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HomeMy WebLinkAboutResolution 8912I :iDE.�17 /ll]I Y [17►i►i1�:�3ia CITY OF MOUNDS VIEW COUNTY OF RAMSEY STATE OF MINNESOTA RESOLUTION APPROVING A SEPARATION AGREEMENT AND RELEASE OF CLAIMS BETWEEN THE CITY OF MOUNDS VIEW AND KEITH W. DEMAREST WHEREAS, Keith W. Demarest ("Employee") has been employed by the City of Mounds View ("City") since April 26, 2004; and WHEREAS, the City and the Employee have concluded that it is in the best interests of both parties that the employment of the Employee by the City be discontinued; and WHEREAS, Employee has offered to discontinue his employment with the City subject to certain conditions; and WHEREAS, the City has reviewed Employee's proposed conditions and incorporated them into a written document attached hereto as Exhibit A entitled Separation Agreement and Release of Claims between the City of Mounds View and Keith W. Demarest ("Separation Agreement"); and WHEREAS, the City Council has concluded that it is in the best interest of the City to approve and execute Separation Agreement as proposed by Employee. NOW, THEREFORE, BE IT RESOLVED THAT the City Council hereby accepts the conditional resignation of Employee effective February 28, 2018, by approving the Separation Agreement attached hereto as Exhibit A which incorporates the terms and conditions of Employee's conditional resignation. NOW, THEREFORE, BE IT FURTHER RESOLVED THAT the City Council directs City staff to advise Employee of the decision to accept Employee's conditional resignation and approve the Separation Agreement as set forth in Exhibit A. 04 NOW THEREFORE, BE IF FINALLY RESOLVED THAT the Mayor, City staff and City Attorney are hereby authorized and directed to take any and all additional steps and actions necessary or convenient in order to accomplish the intent of this Resolution. Adopted by the City Council of the City of Mounds View this 26`h day of February, 2018. ATTEST: (SErL) 3 Carol A. Mueller, Mayor Nyleikmun , City Administrator SEPARATION AGREEMENT AND RELEASE OF CLAIMS BETWEEN CITY OF MOUNDS VIEW, MINNESOTA AND KEITH W. DEMAREST THIS AGREEMENT, made and entered into this ____ day of February, 2018, by and between the CITY OF MOUNDS VIEW, a Minnesota municipal corporation ("City"), and KEITH W. DEMAREST, an individual ("Employee"). RECITALS WHEREAS, on or about April 26, 2004, the City and the Employee entered into an employment relationship by which Employee was hired as a police officer with the Mounds View Police Department; and WHEREAS, the City and the Employee have determined that the employment of the Employee with the City shall be discontinued in accordance with the terms and conditions hereinafter set forth. NOW, THEREFORE, IN CONSIDERATION of the mutual covenants and agreements as set forth herein, the sufficiency of which is hereby acknowledged by the parties, the City and the Employee agree as follows: 1. Resignation from Employment. Employee hereby resigns from his employment with the City effective February 28, 2018 (“Discharge Date”). Employee and City each waive any notice that may otherwise be required by such action. 2. Accumulated Benefits. Employee shall be given a lump sum payment reduced by applicable federal and state taxes, employment taxes, and other customary withholdings, which amount represents the Employee’s unused sick leave as of the Discharge Date that he has accumulated and is entitled to receive pursuant to the terms of the Labor Agreement between the City and LELS. The lump sum payment will be deposited in the Employee’s Retirement Health Savings Plan within fourteen (14) days following the Discharge Date. The Employee will not be entitled to any additional payment for accrued vacation leave, sick leave, compensatory time or holiday pay related to his employment with the City. 3. Employee Benefits. Except as outlined herein, the City’s obligation to provide insurance benefits to Employee shall cease on the last day of February 2018. Employee is entitled to the continuation of certain benefits pursuant to the Consolidated Omnibus Reconciliation Act (“COBRA”), 29 U.S.C. § 1161, et seq. and Minnesota law. In the event Employee elects to continue his health and dental insurance benefits with the City pursuant to his rights under COBRA, the City agrees to pay Employee a lump sum amount of $________ representing three (3) months of health and dental insurance premiums under the Employee’s applicable insurance policies with the City. This lump sum payment shall be made by the City after the Employee elects to continue his health and dental insurance cover and also after the expiration of the 517248v2 RAA MU210-258 1 rescission and revocation periods identified in Paragraph 12 herein. 4. Separation Payment. The City shall make a payment to Employee in the amount of TWENTY THOUSAND THREE HUNDRED NINETY-NINE AND 61/100 DOLLARS ($20,399.61) representing three (3) months of compensation, to be reduced by applicable federal and state taxes, employment taxes, and other customary withholdings, in settlement of all salary, overtime compensation, compensatory time, claims in law and equity, as well as any administrative claims that the Employee may have against the City or its officers, agents, employees, or insurers. (“Separation Payment”). Subject to the express limitations identified in Paragraph 11 herein, the Separation Payment represents a negotiated settlement of a good faith dispute between the parties with respect to all salary, overtime compensation, compensatory time, vacation time, sick time, benefits, claims in law and equity, as well as any administrative claims that the Employee may have against the City or its officers, agents, employees, or insurers. The Separation Payment shall be made within fourteen (14) days after the expiration of the rescission/revocation periods identified in Paragraph 12 herein, with a check made payable to "Keith Demarest”, which will be reduced by all applicable federal and state taxes, employment taxes, and other customary withholdings for the Employee. 5. Consideration. The parties acknowledge and agree that the terms described herein constitute sufficient consideration for this “Separation Agreement and Release of Claims”. 6. Attorneys' Fees and Expenses. Each party will be responsible for the payment of their own attorneys' fees and expenses in connection with this matter. 7. Records, Documents and Property. On or before the Discharge Date, Employee shall return all City owned property and records, including but not limited to uniforms, equipment, keys, cell phones and any other property provided to the Employee by the City. 8. Data Practices Requirements; Confidentiality. This "Separation Agreement and Release of Claims" is public data. To the extent permitted by law, all other personnel data collected relating to the Employee shall remain private data pursuant to the relevant provisions of the Minnesota Data Practices Act. 9. Entire Agreement. The Separation Agreement and Release of Claims constitute the entire agreement between the parties with respect to the discontinuation of Employee’s employment relationship with the City, and the parties agree that there were no inducements or representations leading to the execution of this Separation Agreement and Release of Claims except as contained herein. 10. No Admission of Liability. It is specifically understood that by reason of agreeing to this Agreement, the parties admit absolutely no liability, misconduct, wrongdoing, unethical or unprofessional conduct of any sort, and it is further specifically understood that this Agreement shall not be construed as an admission of liability, misconduct, wrongdoing, or unethical or unprofessional conduct of any sort on the part of any party. 517248v2 RAA MU210-258 2 11. Release. In consideration of the terms described in this Separation Agreement and Release of Claims, Employee, for himself, his heirs, administrators, representatives, successors, and assigns, releases and forever discharges the City and its attorneys, agents, representatives, employees, former employees, insurers, heirs, executors and assigns of and from any and all past, present or future claims, demands, obligations, actions or causes of action, at law or in equity, whether arising by statute, common law or otherwise, and for all claims for damages, of whatever kind or nature, and for all claims for attorneys' fees, costs and expenses, including but not limited to all claims of any kind arising out of the Employee's employment, including but not limited to claims for emotional distress, discrimination, constructive discharge, due process rights, the City’s personnel policies, open meeting statutes, defamation of character and the Minnesota Government Data Practices Act. In particular, Employee knowingly and voluntarily waives all possible rights or claims arising under: the Minnesota Human Rights Act, Minnesota Statutes, Chapter 363A; Equal Employment Opportunity Act; Americans with Disabilities Act of 1990, As Amended; Age Discrimination in Employment Act; Title VII of the Civil Rights Act, 42 U.S.C. §§ 2000e – e-17; Family and Medical Leave Act, 29 U.S.C. §§ 2601-54; Americans with Disabilities Act, 42 U.S.C. § 12101-117; the Rehabilitation Act of 1973, 29 U.S.C. § 701-96i; the Public Employment Labor Relations Act, Minn. Stat. §§ 179A.01-.30; the Minnesota Occupational Health and Safety Act, Minn. Stat. §§ 182.65-.676; the Minnesota Whistleblower Act, Minn. Stat. §§ 181.931-.935; and the state and federal Fair Labor Standards Acts, 29 U.S.C. §§ 201-19, Minn. Stat. §§ 177.21-.35. Employee acknowledges that he has had an opportunity to consult with his attorney concerning the waiver and content of the rights available under these laws. Pursuant to the Age Discrimination in Employment Act, the Employee was offered the opportunity of 21 days to consider this Agreement and to seek the advice of his attorney or financial advisor before signing it. Employee understands that if he signs this Agreement prior to the expiration of the 21-day period, that act constitutes a waiver of his right to consider the Agreement for 21 days. After the Employee signs the Agreement, the rescission/revocation periods set forth in paragraph 12 will become effective. Notwithstanding the foregoing, Employee is neither releasing nor relinquishing any of the following: a) any right to indemnification for claims resulting from his capacity as a police officer, where the City is required to defend and indemnify the Employee pursuant to Minnesota Statutes, § 471.44; b) any outstanding claims for workers’ compensation benefits for which the Employee can establish entitlement under Minnesota Statutes, § 176.001, et seq.; and c) any outstanding claims for Employee’s benefits from PERA, including disability benefits, if applicable. 12. Rescission/Revocation Period. This Agreement is subject to the following rescission/revocation periods as provided by law: 517248v2 RAA MU210-258 3 Act Revocation Period Age Discrimination in Employment Act, 7 days 29 U.S.C. § 626(f) (1) (G) Minnesota Human Rights Act, 15 days Minn. Stat. § 363A.031, Subd. 2 Once the Agreement has been executed, the Employee understands that he has the right to rescind and/or revoke the waivers and releases contained in this Agreement. To be effective, the rescission or revocation must be in writing and delivered to the City either by hand or mail within the 7-day period for the Age Discrimination in Employment Act, or within the 15-day period for the Minnesota Human Rights Act. If delivered by mail, the rescission or revocation must be: (1) postmarked within the applicable 7- or 15-day period; (2) properly addressed to the City; and (3) sent by certified mail return receipt requested. The address of the City is: City of Mounds View Attention: Rayla Ewald, Human Resources Coordinator 2401 Mounds View Boulevard Mounds View, MN 55112 13. Veterans’ Preference. Employee acknowledges that he is a veteran of the United States armed forces and expressly waives any rights he possesses under Minnesota law with regard to his separation of employment from the City. 14. Voluntary and Knowing Action. The parties acknowledge that they have had the opportunity to consult with their own legal counsel, that they have thoroughly read and understand the terms of this Agreement, and that they are voluntarily entering into this Agreement to resolve this matter. 15. Reasons for Agreement. Pursuant to Minn. Stat. § 13.43, subd. 2(a)(6), the City states that the reason it is entering into this Separation Agreement is to amicably separate the employment relationship with Employee and to provide him with certain benefits in light of his resignation from employment. 16. Governing Law. This Agreement will be construed, enforced and governed in accordance with the laws of the State of Minnesota. 17. Severability. The parties agree that the provisions herein are reasonable and not known to be in violation of any federal, state, or local law or regulation. In the event that a court of competent jurisdiction finds any provision contained herein to be illegal or unenforceable, such court may modify that provision to make it valid and enforceable. The declaration of a provision as unenforceable shall not invalidate any other provision of this Agreement. 517248v2 RAA MU210-258 4 IN WITNESS WHEREOF, the City and the Employee have approved and executed this Separation Agreement and Release of Claims on the day and year first above written, after approval thereof by the City Council for the City of Mounds View, Minnesota. Dated: February ___, 2018 CITY OF MOUNDS VIEW BY: ________________________________ Carol A. Mueller, Mayor BY: ________________________________ Nyle Zikmund, City Administrator Dated: February ___, 2018. EMPLOYEE __________________________________ Keith W. Demarest 517248v2 RAA MU210-258 5